The SEC is facing mounting pressure to tighten its rules, following a Wall Street Journal investigation that found profitable and well-timed trades by more than 1,400 executives.
- In 2007, a senior securities regulator cautioned about the potential misuse of preset plans by executives to trade their companies’ stock based on inside information.
- Following a Wall Street Journal investigation revealing well-timed trades by over 1,400 executives, pressure has mounted on the SEC to tighten its rules.
- Despite corporate insiders filing over a million forms about share ownership changes, the SEC has pursued very few cases against executives for trading their own company’s stock fraudulently.
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